Oil saw a nice upward spike yesterday. We’re not quite to $60, but the trend is still positive. I expect it to pull back a tiny smidge, then continue the steady pace in this direction…I’m not saying “the day OIL hits $60, we will have an RV”! $60 was the direction I wanted to see, and we’re basically there. As long as the current trend continues, we are in the (green) zone. Steady and controlled oil prices, + steady and stable GOI, + some HCL goodies…that’s what we’re looking for, and it keeps coming!
One item that is of note, and may push us out just a little bit, is the budget/fiscal year. There is a LOT of accounting to be done with any kind of monetary change, and it would certainly make things cleaner to change the rate on a specific date that coincided with something logical like the start of a fiscal year or quarter, or perhaps the beginning of a new budget, or something like that. We are a couple weeks away from the end of Iraq’s first fiscal quarter. Their fiscal (XYZ) can be a bit confusing because they don’t get the new budget out until after the new fiscal year has already begun, and in the past they have stated that surplus in the budget applies to the following year. Oh, there’s nothing like proper planning, where the first three months of the year you have no idea what’s in your checking account or what bills are in the mailbox.
That’s nothing to concern us, of course. In fact, with the steady progress we’re seeing in all other areas, the prospect of a currency value change at the start of Iraq’s Q2 is a pretty reasonable thought. In other news… not much I can say right now! Parliament is in session and WORKING. We don’t have an announcement, but all of the clues are saying *soon*. I’ll be monitoring.